CoinGecko: What is the current market sentiment? Who is bullish on cryptocurrencies?

Author: Lim Yu Qian, Coingecko; Compiler: Wuzhu, Golden Finance

What is the current crypto market sentiment?

Just two months after the Bitcoin halving, crypto market sentiment has diverged, with no strong consensus sentiment. According to a recent survey, even as a pullback reversed the initial post-halving rally, 49.3% of crypto participants remain optimistic about the market. Specifically, 26.1% of respondents feel somewhat optimistic, slightly higher than the 23.2% who are completely optimistic.

A quarter of cryptocurrency participants were neutral on the market, leaning neither toward bullish nor bearish sentiment. Neutral sentiment was the second most common response in the survey. This may reflect participants' uncertainty about the state of the cryptocurrency market, or indicate that participants are waiting for further developments before forming a market view.

The remaining 25.2% of participants were bearish on the cryptocurrency market. Bearish sentiment in the crypto market was once again almost evenly distributed, with 13.4% of participants saying they were somewhat bearish and 11.8% saying they were completely bearish.

Investors and builders are more bullish on crypto than traders and onlookers

Of the four categories of survey participants, investors were the most optimistic about the market: 54.1% of crypto investors were bullish, with just 20.7% holding bearish sentiment. Builders were the second most optimistic group, with 47.6% saying they were bullish and 31.6% saying they were bearish.

In contrast, crypto market sentiment among traders was mixed, with 39.0% saying they were bullish and 33.5% saying they were bearish. This perhaps highlights that short-term holding traders are more likely to adjust market sentiment based on price action, while investors and builders are more focused on the potential of the cryptocurrency market over the longer term.

Bystanders were the most pessimistic about the cryptocurrency market, with 28.5% of responses expressing bullish sentiment, compared to 42.4% expressing bearish sentiment. Given that they claimed not to be directly involved in cryptocurrencies, the audience's responses may reflect the views of participants who have taken profits and temporarily exited the market.

Nevertheless, it is worth noting that the survey did not strictly define each type of participation so that respondents could self-select based on their perception. Therefore, the perceived definition of long-term and short-term cryptocurrency holdings may vary.

Crypto Market Sentiment Survey Results

According to a survey of cryptocurrency participants, the current cryptocurrency market sentiment from June 25 to July 8, 2024 is as follows: